2013 and earlier Volkswagen Passat Lease Questions

danpa

You ask, "If you think they are just plain wrong, why would you want to visit the site? jk"

Because I wanted to see who posted them? Three dealers told me the numbers at my link above are the current VW Credit numbers. I'd love to beleive the numbers you posted, and have now writtten to the author of the numbers asking about the discrepancy. I was hoping someone here could shed light on which numbers to use. I'm about to lease, in the next few hours.

jojoeb

I was also quoted money factor in mid october as
.000137 for 06 Passat 2.0. PKG 1, with heated seats
When I went on Nov 06 to
close the deal, they told me the money factor had gone
up to .00184. I was also disappointed as they wouldn't
honor the old rate...
I would've went to another dealer to confirm the money factor, but my 03 Passat is up this week and I needed to have a replacement vehicle asap.

Would anyone know where I can get the VW Nov. money factor
online ( a true rate) so I can bring it with me tonight?
I picking up the car tonight.

My cap cost was $25,325.00. They gave me their invoice
price in exchange for the 500.00 owner loyalty.

I'm paying the bank fee, 1st mnth payment,tax and mv fees upfront.
My payments are 300.00mnth for 39mnths.Or 326.00
for 36months. Not the greatest deal, but i'm short on time.

nycantzman

Is it a good deal? What would be the Cap Cost?
Could someone break this down for me? Thank you.

$0 drive off!**
2006 Passat 2.0T Value Edition with Automatic Transmission
39-month lease with $299/month payments

$0 due at signing
(excluding license, tax, options and dealer fees)

**US cars only. Monthly payments total $11,362. Based on MSRP of $24,640 for a 2006 Passat 2.0T Value Edition Sedan with 6-speed automatic transmission, excluding title, taxes, options and dealer charges. Closed-end lease offered to highest qualified customers by Volkswagen Credit through participating dealers. Supplies limited. Offer ends January 3, 2006. Requires dealer contribution of $486.47, which could affect final negotiated transaction. Lessee responsible for insurance. At lease end lessees responsible for $0.15/mile over 39,000 miles and for damage and excessive wear. Additional charges may apply at lease end. Purchase option at lease end for $14,537.60. Dealer sets actual prices.

danpa

Nvnick, I mailed the person who posted your numbers, asking about the discrepancy. He responded with another set of numbers that are even less credulous than the first!

For example the numbers he now sent me state residuals in the mid to high 60s! Bottom line: he's not giving VW Credit numbers, and he's not giving numbers that match anything on the lease request (or whatever it is called) web site which provides 4 comparitive bids.

danpa

LeaseCompare.com gave me 4 quotes, all higher than VW Credit.

I then tried to verify the VW Credit Rates by "click here" (they don't report the rates) and all they did was forward my request to a not-so-local dealer. The dealer then tried to sell me a car. No reference to what I was seeking, accurate, concrete lease information from manufacturer.

What a waste of time, and deceptive. At least the four excessively high bids were concrete and specific.

nycantzman

I would love to hear Car Man's opinion on this!!!! Thanks!!!!

nagni

I just spent a couple of hours with a very friendly VW dealer in
NY, and here are the details of the VW lease deal from the website

2006 Passat Value edition:
MSRP: 24,640
Initial cap cost: 23,500
Cap cost reduction: 0
Residual: 59%
Money factor: 0.00096 (2.3%)
Total down payment: 841
Length of lease: 39 months
Miles per year: 12000
Total monthly payment: 320

2006 Passat 2.0T:
MSRP: 27,215
Initial cap cost: 26,500
Cap cost reduction: 0
Residual: 59%
Money factor: 0.00184 (4.4%)
Total down payment: 841
Length of lease: 39 months
Miles per year: 12000
Total monthly payment: 390

I think the cap cost on both those deals can easily come
down a bit more, because that is still $1800-$2000 above
invoice price. But VW seems to have a much better
deal (in terms of the money factor) on the value edition.

fdepizzo

Car man,

I see you have a lot of knowledge here and could use your help. I live in the Chicago area and have a offer for a 2006 Passat, 2.0T. It has the Pkg #1,- $1625, Climate control, $225, 6 speed Tiptronic Auto Trans, $1075, Rear side air bags, $350, and rubber mats and trunk liner, $185 for $27,475.
I came in with a great credit score for a money factor of .00251. The term is the promotion, where VW pays the first month with $0 down for a 39 month lease at $407 a month. Does this sound good or do you think it is high?
Thanks!

rtadams

Car Man,
Could you please post the money factors and lease rates for November on the 2006 Passat. I am interested in the 3.6L version with a 3 year- 42 month lease @ 15k miles.

Thank you

vwchic

I leased the 99 Passat that I am currently still paying on to own...why is it that when you lease practically none of that money goes towards purchase and you still end up with car payments very close to the lease payment for another 2-3 years...what's the advantage in leasing if you find you like the vehicle and really want to keep it? Did I miss something that was proposed to me as a "great" way to first "test drive" the vehicle I really wanted and then own? :confuse:

meuseman

I am in a similar boat. I guess there are 2 ways of looking at it. Say the car you want to buy is $25,000 out the door (includes Tax, title, license, etc). If you financed that for 5 years at 5% with zero down, your monthly payment would be about $472. If the same car has an MSRP of $24,500 and you negotiated a price of $23,500 with average lease terms (55% residual, .00209 MF, 36 mo, 12k/year, 0 cap cost reduction), your monthly payment would be $356 before tax (however your state calculates it). After 36 months, you would owe $13,475 on the car. Obviously, the advantage to the lease is that it results in a lower monthly payment. Of course, you may find yourself in a position at the end of the lease where buying it out will cost you more than if you bought it.

In my case, I am looking at a Honda Pilot which would give me a very reasonable monthly rate because of the lease special. The special is so good in fact, that if I take the lease for 42 months and then buy out the car at the residual, financing that over 48 months at 5%, I will have spent less money total than if I bought the car outright and financed it at 5.5% over 72 months. I guess you have to sit down with a good calculator (I use www.dinkytown.com) and determine how this process will affect you and how it fits into your budget.

CarMan@Edmunds

Here's the information that you are looking for, tlabrie. If you were to lease a 2006 Volkswagen Passat 3.6 2WD Sedan through VW Credit right now for 24 months with 15,000 miles per year, its buy rate lease money factor and residual value should be .00223 and 61%, respectively. The numbers for an otherwise identical 36 month lease should be .00223 and 55%. When negotiating your lease on this car, keep in mind that VW is running a special program right now that waives the first month's lease payment on 2006 Passats.

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CarMan@Edmunds

Hi Phoebe. I would be happy to give you my opinion of this deal, but it would be a big help if you would provide me with this car's full MSRP. Not only will this enable me to see how much of a discount you are being given on it, it will also enable me to estimate what its lease payment should be right now using VW Credit's actual lease program.

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CarMan@Edmunds

Hi carrera. I am not personally all that familiar with what the market is like for this car right now, in terms of the selling prices that one can negotiate. You should be able to get an idea of how much you will have to pay for this car by visiting the following discussion: "Volkswagen Passat: Prices Paid & Buying Experience". Once you know how much you should pay for this car, stop back and let me know. I can use this information, along with thie car's full MSRP to estimate what its lease payment should be for you. I will also need to know how long you want to lease for and how many miles per year you need to be able to drive.

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CarMan@Edmunds

Hi nycantzman. Volkswagen's advertised lease on the 2006 Passat looks like a pretty good deal. I don't know what the capitalized cost for this lease is, but I can tell you that there is a very good chance that you would be able to negotiate a better price than the one that this deal is based upon. Manufacturers usually leave a little meat on the bone so to speak with their advertised lease payments. If you are in an area where there is a decent level of competition, I would not be surprised if you were able to beat this deal.

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CarMan@Edmunds

Here you go, rtadams. According to the latest information that I have seen, if you were to lease a 2006 Volkswagen Passat 3.6L 2WD through VW Credit right now for 36 or 39 months with 15,000 miles per year, its buy rate lease money factor and residual value should be .00223 and 55%, respectively. I have not seen this car's 42 month lease program.

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danpa

Sorry car_man, your numbers I beleive are wrong on the lease. Here are the correct numbers, from vwvortex:

http://forums.vwvortex.com/zerofile/2219/VWNovLease.jpg

Is there any reason that I and dozens of others who seem to -- shouldn't accept them? BTW: I was asking your advice when I was working out a lease several weeks ago. But you were nowhere to be found and so I figured it out on my own!

danpa

Car_man wrote:
"Hi danpa. You never mentioned what Passat model you are interested in, but if you are talking about the 2.0T then you are definitely being lied to. VW Credit's November buy rate lease money factor for a 36 month lease of a 2006 Passat 2.0T is currently only .00096 (.00124 on the Value Edition)."

Just to clarify, the numbers that I believe are correct are for the 2.0T, 15k miles, 36 months are .00184 and 57% (.00096 and 57% for the VE).

kicker5454

Hi Carman,

Looking at what I should pay for a lease on 2006 passat with auto, package 2 and rear airbags. Price I negotiated was 26,664. ($100 over invoice). I am looking at 10k miles and 39 months. I believe MF is .00096 for 39 months. Please let me know what I should be paying a month. thanks.

CarMan@Edmunds

Hi danpa. You never mentioned what Passat model you are interested in, but if you are talking about the 2.0T then unfortunately the November money factor that you were quoted, .00184, is correct. The .00096 that I previously mentioned is only available on the Value Edition model. Sorry for the confusion.

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CarMan@Edmunds

Hi nvnick. I accidentally flipped the numbers around in my earlier post to you. Sorry about the confusion. According to the latest information that I have seen, the 36 month buy rate lease money factors for these cars should be .00184 for the 2006 Passat 2.0T, .00096 for the Passat 2.0T Value Edition, and .00223 for the 2006 Passat 3.6L.

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CarMan@Edmunds

Thanks fdepizzo. The lease money factor that you were quoted for this car looks a little high. According to the latest information that I have seen, VW Credit's current buy rate lease money factor and residual value for a 39 month lease of a 2006 Passat 2.0T (not the Value Edition) is currently .00184.

You never mentioned the selling price of the car that you are interested in leasing. This is an important number for you as a consumer to know for two reasons. First, the selling prices of leased vehicles can be negotiated, just as if you were paying cash for them. Without knowing the price of the car that you want to lease you don't know how good a price you are getting it for. The second reason is that one needs the selling price of a vehicle that they want to lease is that it is necessary to calculate its lease payment. I would be more than happy to give you my opinion on this deal if you let me know what this car's selling price is.

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fdepizzo

Car man:

Here is the breakdown of the "deal".

$27,475 - purchase price ( $16,505.25 is the residual)
$575 - acquistion fee
$449 - taxes
$55.39 - tag transfer

$28,554.39 total
This is a 2.0T with: Package 1, Auto trans, addtional rear side airbags, cold weather package, rubber mats and trunk liner. Thanks again for your help! Frank

nanny5

you can look at the ad and calculate the residual and money factor on the passat value edition yourself

MSRP 24,640 residual 14537.60 divide 14537.6/24640= 59%

cap cost as follows 24,640 less dealer contribution of 486.47 = 24153.53 however you need to roll in the 575 acquisition fee for a total cap of 24728.53

depreciation 24728.53 - 14537 = 10191.53 divided by 39months = 261.32/month

now the finance charge advertised lease payment 299 - 261 $38/ month

now figure out the Money factor

cap cost + residual 24728.53 + 14537 = 39265.53

$38/39265.53 = 0.00097 which translates into approximately 2.33% finance charge multiply money factor by 2400

my numbers may be slightly different because i am not sure of the acquisition fee 550 or 575 the VW website states that the acquisition fee is added to the cap cost

IF you negotiate your deal closer to invoice you will do better than the 299 advertised lease payment obviously state taxes are not included in the advertised lease payment

CarMan@Edmunds

Hi kicker5454. If you're talking about a 2006 Value Edition Passat 2.0T, then yes the buy rate lease money factor for this car is .00096. However, if you are interested in any non-Value Edition Passat 2.0T, the buy rate money factor for this term is currently .00184. The fact that you already know this car's selling price is great, however in order for me to estimate what its lease payment should be like I also need you to provide me with its full MSRP (with the destination charge added in). Let me know and I will let you know what I come up with.

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CarMan@Edmunds

Thanks for breaking down this car's price for me, Frank. I am a little confused though. Is this your car's selling price or its full MSRP? Always remember that the selling prices of leased vehicles are negotiable, just as if you were paying cash for or financing them. In order to make sure you are getting the best possible deal, you need to know both the selling price and the MSRP of the vehicle that you want to lease. Knowing both of these numbers will show you how much of a discount you are being given. Furthermore, it will enable you to (or me) to estimate what this car's lease payment should be.

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nycantzman

Hey Car Man - Could you please confirm the following for me, its making me a bit crazy.

Just wanted to add that any of the invoice info I received (I am in the NY Metro Area) includes the Advertising Fee, Floor Plan Interest and Port Fee which has becoming out to $397 for a 2006 Passat 2.0T. Basically just adding that $397 to the invoice price listed on Edmunds. It seems to me most of the messages on the board haven't really been including these figures. Am I missing something? Am I the fool thinking I have to pay this? Should they be past on to us? I think I have read and heard enough to say they are but I am still a bit skeptical if totally valid.

I am looking to lease and so far have been quoted about $400 over invoice (the one with the extra $397).

Thanks so much!!!

cllaw

Hi nycantzman

Not sure what area in NYC are you in, but I just recently lease a Passat 2006 2.0T and there is no such fees that you were talking about. My opinion is that they just try to thorw in something to make money out of you. I would say it is something similar to cap. reduction which is nothing but reduce the lease price of the vechicle. I would suggest you go check out other dealers since the car is not selling very well and they are trying very hard to get their stock out of the way and you might get some good deal. Good Luck

Alex

nycantzman

Thanks for the reply Alex.

But thats just it....3 different VW dealers in the area all have the same 3 items, as part of the invoice, at the same price.

???

cllaw

I got mine at Jersey City and I don't think there is such thing on my lease contract. If that's what you have and you have to get it in one of the 3 dealers you went, just wait till the end of the month where they try to push up their sales # and ask for a lower price... you should be able make up the fee with a lower overall price

bonzo3

Hello Gang, I have been reading the forum for a few months and was pretty impressed with the information. Need to know if you believe I worked out a good deal on a new 2006 Passat Value Edition.

MSRP $24640
Base Cap Cost $23500
Aquisition Fee $575
Money Factor .00096
Term 39 months
Sales Tax 6%
No money down
Total Payments per month $292.07

Thanks in advance for your advice.

nanny5

if you are a current vw customer or own a vw you can get 500 loyalty cash and use that to bring down your cap cost.
Does the lease payment include the 6% sales tax?

bonzo3

Sorry, I've been away a few days. No loyalty cash involved and yes the lease payment includes the 6% sales tax.

chicago3

I am about to lease an '06 VW Passat 2.0T with option pakage #2.

I have been quoted a 39/mo. lease payment of $335 with $2000 down. This includes all taxes and fees.

Is that comparable to what others are seeing? Better/worse?

The sticker on the car was $28,000.

Any feedback would be MUCH appreciated!

danpa

Not a good deal -- don't go for it.

First, on a lease if you have good credit, put nothing down. For comparison (and I think I posted the numbers here) I got the same car, drove off with a bill of $40 and a full tank, and will pay $365/mo for 35 months. No acquisition fee, including all taxes, advert. fees, and other crap. I'd be glad to provide further detail. You really should read the help file at vwvortex here:

http://forums.vwvortex.com/zerothread?id=794813

HTH

CarMan@Edmunds

Hi chicago3. Since you are new to the world of leasing, you definitely should check out the following informative articles that are available here at Edmunds.com prior to visiting any dealers: 10 Steps to Leasing a New Car and Calculate Your Own Lease Payment.

You never mentioned the selling price of the car that you are interested in leasing. This is an important number for you as a consumer to know for two reasons. First, the selling prices of leased vehicles can be negotiated, just as if you were paying cash for them. Without knowing the price of the car that you want to lease you don't know how good a price you are getting it for. The second reason is that one needs the selling price of a vehicle that they want to lease is that it is necessary to calculate its lease payment. I would be more than happy to give you my opinion of the deal that you were quoted if you let me know what this car's selling price is.

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chicago3

Wow, thanks! My credit is near perfect, so I am expecting the best deal they can give me.

The link to the article is great! I feel a little silly, but like I said I'm new to this.

I will post all the numbers tomorrow, if you can provide additional feedback it would be GREATLY appreciated!

chicago3

Thanks (especially for checking on the weekend!) I will post all the numbers tomorrow (Monday).

What a great resource!!

danpa

Sure. I negotiated a selling price of $25,900. I think this price was after I subtracted the $500 loyalty benefit. I really don't recall but can check if you're interested.

MSRP: 28415 (2.0T, package 2).
Money Factor was .00184 (November).
Invoice was 26,254 according to Edmund's.

To cut to the chase, I think VW of America paid the acquisition fee -- I'm not sure how they handled it internally. But I drove off with a bill of $40 and have 35 monthly pmts. of about $365 and this includes local CA tax of 8.25%. One other important detail. This is for 10k miles/year. The lease formula tells how to calculate a residual for 12k or 15k miles (I think it is .6 for 10k, 36 months .59 for 12k and .57 for 15k but Car_man can correct me if I'm wrong). Hope this helps.

chrisaz

Does anyone know the December MF and Residuals for the V6 Passat?

Thanks for any help!!

chicago3

Here are the numbers:

MSRP $28415
sale Price $27193
Redidual 59%
Money Factor .00
Tax is 8.75%
39 months
12,000/year
$2000 down

Payment = $335/mo.

Please let me know what feedback you have!

chicago3

Car Man--

Please see message #96. Thanks!

chicago3

sorry, money factor is .00184

danpa

What can I say that I haven't already? I got the same auto for $1300 less. First payment was close to zero ($40). No down payment. If you read the discussion I pointed you to, or any FAQ on leasing, they all state that you should put nothing down, zero. If possible. It is possible--I did it 3 weeks ago. As have many others.

jaxs1

It says "Based on MSRP of $24,640" and "Requires dealer contribution of $486.47" so doesn't that mean the capitalized cost is $24153.53?
http://www.vw.com/models_overview/offers.html

$486.47 off a MSRP of $24,640 isn't much of a discount, so I would guess the dealerships should be able to discount much more.
I wonder if there is room get the $299 per month price into 36 instead of 39 months?
In California, returning the car by the 36th month would save you a few hundred dollars in additional registration fees.
This is wasted money because you pay for another full year of DMV fees for months 36 to 39. It is not prorated and does not transfer to your next vehicle.

vwleasee

I am going to lease a 06 passat VE. My question is who should be responsible for the personal property tax? Me or leasing company? I live in Misourri. Thanks for advices in advance.

artcat

Hi;
I'm interested in leasing a 2006 Passat 2.0T package 1 with
cold weather pkg. The MSRP is $27,440 and my lease term would be 39 months at 10,000 miles per year. What is the best deal out there that I could expect.

fish8

The person leasing the car is almost always responsible for ALL taxes. I am about 98% sure this is correct, but you may want to call your local dealer just to verify.

forrestmc

I had a dealer mention the "drivers option" that VW offers. I seem to get conflicting information on it depending what dealership I talk to. It sounds like a "better" option for me as I drive roughly 20K miles/year and don't care to pay for 10-15K miles at the end of my lease. Anybody have any good info on the drivers option? Even the VW site seemed rather vague in terms of mileage options available.

daluche

I just left a dealer with the following: a lease for 2006 Passat 2.0T w/ pkg 1 - 0 down (excluding inceptions), 12k/yr and they calculated $352mo for a 36 month lease and $331 for 39mo lease. Told me they were selling the car to me for $24,700. Does this sound like a good deal or how else should I be approaching this lease for the best zero down scenario?